# Phase One, Wall Street and the renminbi | Capital Economics

> Capital Economics says the Phase One deal signed this week includes Chinese commitments to avoid competitive devaluation and open market access for US non-bank financial institutions. It doubts the currency pledge marks a major shift in PBOC exchange rate management.

- Date: 2020-01-17 · published 2020-01-17T12:00:00.000Z
- Category: policy · region China · magnitude low
- Page: https://feedsoft.ai/events/55312-phase-one-wall-street-and-the-renminbi-capital-economics
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

The analysis suggests limited lasting change in yuan policy, so the currency is unlikely to be a major driver of Chinese farm import demand.

## Read by commodity

- USDCNY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2017-07-12 | [PBOC: China should expand Renminbi's trading band - People's Daily Online](https://feedsoft.ai/events/70197-pboc-china-should-expand-renminbi-s-trading-band-people-s-daily-online.md) | -0.8% | -1.4% |
| USDCNY | 2017-09-11 | [China central bank relaxes yuan hedging rules as currency strengthens, capital outflows ease \| Reuters](https://feedsoft.ai/events/7799-china-central-bank-relaxes-yuan-hedging-rules-as-currency-strengthens-capital.md) | +1.1% | +2.7% |
| USDCNY | 2019-03-10 | [China won't use exchange rate for competition: Official \| The Straits Times](https://feedsoft.ai/events/60335-china-won-t-use-exchange-rate-for-competition-official-the-straits-times.md) | -0.1% | -0.0% |
| USDCNY | 2023-12-30 | [How China talked markets out of a run on the yuan By Reuters](https://feedsoft.ai/events/11839-how-china-talked-markets-out-of-a-run-on-the-yuan-by-reuters.md) | +0.8% | +1.1% |
| USDCNY | 2026-01-01 | [Chinese State Media Warns Against Making One-Way Bets on Yuan](https://feedsoft.ai/events/21742-chinese-state-media-warns-against-making-one-way-bets-on-yuan.md) | -0.1% | -0.6% |

## Sources

- capitaleconomics.com: https://www.capitaleconomics.com/clients/publications/china-economics/china-economics-weekly/phase-one-wall-street-and-the-renminbi

---
Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.